Our Q2 to QTD Q4 2024 review of autoimmune focuses on biotech activity, highlighting notable R&D partnerships, significant M&As, substantial ventures, and impactful IPOs. Monte Rosa partnered with Novartis in October, securing $150 million upfront and $2.1 billion in milestones to develop autoimmune and inflammatory therapies. Repertoire Immune Medicines collaborated with BMS in April for tolerizing vaccines, receiving $65 million upfront and $1.8 billion in milestones. FutureGen signed a $150 million upfront deal with AbbVie in June, with $1.6 billion in milestones for its TL1A antibody targeting inflammatory bowel disease.
Key M&A included Vertex’s $4.9 billion acquisition of Alpine Immune Sciences in April, Eli Lilly’s $3.2 billion acquisition of Morphic in July, and Biogen’s $1.2 billion purchase of HI-Bio in May, adding assets for lupus, nephritis, IBD, and kidney autoimmune diseases.
Venture funding highlights included Candid Therapeutics $370 million in September, AltruBio’s $225 million in May, and Zenas BioPharma’s $200 million series C in May.
IPOs saw Zenas raising $259 million in August and Alumis $210 million in June, advancing innovative autoimmune therapies.
Autoimmune R&D Partnerships
Autoimmune R&D activity from Q2 to QTD Q4 2024 has been robust, with 16 partnerships totaling $7.4 billion. QTD Q4 led with 4 deals valued at $3.2 billion, including $458 million in upfront cash and equity. Q2 followed closely with 9 deals worth $3.8 billion and $225 million in upfront commitments. In contrast, Q3 saw a slowdown, with 3 deals totaling $448 million and minimal upfront payments of $1.5 million.
Top 3 Autoimmune R&D Partnerships – Q2 to QTD Q4 2024
Monte Rosa development and commercialization deal with Novartis – October 2024
Monte Rosa granted Novartis exclusive global rights to develop and commercialize MRT-6160 (Phase I) and other VAV1 MGDs targeting autoimmune, cancer, and inflammatory diseases. Monte Rosa received $150 million upfront and is eligible for up to $2.1 billion in milestones, including $1.5 billion tied to regulatory approvals, plus tiered royalties outside the US and a 30% profit/loss share in the US. Monte Rosa will complete the Phase I trial and co-fund Phase III, while Novartis assumes responsibility from Phase II onward.
Repertoire Immune development and commercialization deal with BMS – April 2024
Repertoire Immune Medicines granted Bristol Myers Squibb exclusive global rights to develop and commercialize tolerizing vaccines for up to 3 autoimmune diseases. The collaboration leverages Repertoire’s DECODE TCR-epitope discovery platform and lipid nanoparticle delivery technology. Repertoire received $65 million upfront and is eligible for up to $1.8 billion in development, regulatory, and commercial milestones, plus tiered royalties.
FutureGen development and commercialization deal with AbbVie – June 2024
FutureGen granted AbbVie exclusive global rights to develop and commercialize FG-M701, a TL1A antibody for inflammatory bowel disease (IBD). The deal includes a $150 million upfront, near-term milestone payment (undisclosed), up to $1.6 billion in development, regulatory, and commercial milestones, and tiered royalties.
Autoimmune M&A
Autoimmune M&As in 2024 have been modest, with 8 deals completed since Q2, totaling $10.7 billion ($10 billion excluding contingents). Q2 dominated with 5 deals worth $7.5 billion ($6.8 billion without contingents), while Q3 added 2 deals at $3.2 billion. However, QTD Q4 saw just 1 deal with no value contribution, marking a sharp slowdown.
Top 3 Autoimmune M&A Deals – Q2 to QTD Q4 2024
Vertex Pharmaceuticals acquiring Alpine Immune Sciences – April 2024
Vertex announced a $4.9 billion acquisition of Alpine Immune Sciences, including its lead assets Acazicolcept (Phase II for systemic lupus erythematosus) and Povetacicept (Phase I/IIb for lupus nephritis and other autoimmune indications). The deal, valued at $65 per share with a 38.18% premium, also includes Alpine’s directed evolution platform. The transaction is expected to close in Q2 2024.
Eli Lilly acquiring Morphic – July 2024
Eli Lilly announced the $3.2 billion acquisition of Morphic, including its lead asset MORF-057 (Phase II, A4B7 integrin inhibitor for IBD) and a pipeline of preclinical programs targeting conditions like myelofibrosis, solid tumors, pulmonary hypertension, and Crohn’s disease. The deal, valued at $57 per share with a 79% premium, closed in August 2024.
Biogen acquiring HI-Bio for $1.8B – May 2024
Biogen announced its $1.2 billion acquisition of Human Immunology Biosciences (HI-Bio), focused on its lead asset, felzartamab, a Phase II anti-CD38 monoclonal antibody for immune-mediated diseases, particularly nephropathy. Felzartamab has received breakthrough therapy designation (BTD) and orphan drug designation (ODD) from the USFDA for primary membranous nephropathy (PMN) and antibody-mediated rejection (AMR) in kidney transplant recipients. HI-Bio is also eligible for up to $650 million in development milestones. The acquisition was completed in July 2024.
Autoimmune Venture Funding
Autoimmune venture funding reached $1.6 billion across 18 rounds in 2024. Q2 and Q3 saw 9 rounds each, but Q3 led in funding with $801 million, compared to $749 million in Q2. This steady deal flow suggests consistent funding with a slight lift in Q3.
Top 3 Autoimmune Ventures – Q2 to QTD Q4 2024
Candid Therapeutics – Series Unspecified – $370M – September 2024
Candid Therapeutics emerged from stealth, announcing a $370 million financing round co-led by Venrock Healthcare Capital Partners, Fairmount, TCGX, and venBio Partners, with participation from Foresite Capital, Third Rock Ventures, and Fidelity Management, among others. The company, founded by RayzeBio (acquired by Bristol Myers for $4.1 billion in December 2023), aims to develop scalable, patient-friendly therapies for autoimmune diseases. It has also acquired two clinically validated drug candidates from Vignette Bio and TRC 2004 to advance its pipeline.
AltruBio – Series B – $225M – May 2024
AltruBio Inc., a clinical-stage biotech company focused on novel therapeutics for immunological diseases, announced an oversubscribed $225 million series B financing. The funding will advance Phase II trials of ALTB-268, a first-in-class PSGL-1 agonist antibody targeting ulcerative colitis and other validated immunological disorders. The round was led by BVF Partners LP, with participation from RA Capital, Cormorant Asset Management, Soleus Capital, aMoon Fund, and Blackstone Multi-Asset Investing.
Zenas – Series C – $200M – May 2024
Zenas BioPharma, focused on inflammation and immunology therapies, closed an upsized $200 million series C financing to advance the late-stage clinical development of obexelimab, its lead bifunctional monoclonal antibody targeting CD19 and FcγRIIb. The round was led by SR One with participation from NEA, Norwest Venture Partners, Delos Capital, Enavate Sciences, Longitude Capital, and others, including Federated Hermes Kaufmann Funds and Arrowmark Partners, alongside existing investors.
Autoimmune IPO Activity
Autoimmune IPO activity in 2024 has been muted, with only 2 IPOs since Q2, raising $435 million. Q3 led with a $225 million IPO, edging out Q2’s $210 million. So far, no IPOs have been recorded in Q4.
Top 2 Autoimmune IPO – Q2 to QTD Q4 2024
Zenas – IPO – $258.7M – August 2024
Zenas BioPharma (ZBIO) raised $259 million through its IPO and announced Q3 2024 financial results. The company completed enrollment for its Phase 3 INDIGO trial of obexelimab for IgG4-RD, with topline data anticipated by late 2025. R&D expenses rose to $34 million (up from $9 million YoY), G&A expenses increased to $8 million (from $5 million YoY), and net loss totaled $39 million. With $387 million in cash, Zenas expects to fund operations through Q4 2026.
Alumis – IPO – $210M – June 2024
Alumis raised $210 million in one of 2024’s largest biotech IPOs, though it fell short of its $283 million target. The company sold 13 million shares at $16 each, supplemented by a $40 million private placement with AyurMaya Capital Management. Alumis is advancing ESK-001, a TYK2 inhibitor for immunological diseases, touted as more potent and selective than Bristol Myers Squibb’s FDA-approved Sotyktu.
Also check out R&D Partnerships, M&A, Ventures, and IPOs by TA – Autoimmune – Q1 2024 Review
